Cong MLA: Parandur land value inflated for max compensation

CHENNAI: Congress legislature party leader K Selvaperunthagai has flagged a scam in land registration in his Sriperumbudur constituency.

The MLA has raised doubts over sudden spurt in land registrations within the area earmarked for the airport project in Parandur at inflated prices to secure exorbitant compensation from the government.

Excerpts from the chat with DT Next...

How can you explain the controversy over land registration in Parandur?

Some people have artificially jacked up land prices to make enormous profit when the government acquires their land for the project. One garment store has registered its property in square feet instead of acres. It has artificially inflated the guideline value upto Rs 165 crore for a land parcel falling within the area earmarked for the project. The issue was flagged by an NGO too.

How does the ‘scheme’ work?

There are two types of scams. Some people undervalue the property to save on stamp duty and registration fee. Some inflate the land value to secure more money from banks as loan. In this case, some people are buying land in a hurry in 12 villages and registering them by inflating the guideline value. Registration is always done based on the guideline value of the most recent transaction there. So, they have inflated the price artificially with the collusion of registration department officials.

On what basis are you making such an accusation?

A sub registrar refused to register the land by inflating the guideline value. The sub registrar was transferred, and another was brought here at the behest of an additional IG of registration. That’s how the garment store owner was able to register the land at inflated value. Involvement of officials has been documented by the whistleblower NGO.

What are you expecting from the government?

The government should immediately initiate action against officials who have done it with political backing. It must find out which political outfit or leader is behind the racket and cancel shady transactions.